The Secret to Building Real Wealth

We believe that building a long-term fortune simply requires these two steps:
1.Buy the best dividend-paying stocks, and
2.Reinvest the dividends.
Do this and you've built an instant money machine.
For example, here's the difference reinvesting dividends can make.
The Power of Reinvesting Dividends

It's true. If you had invested $10,000 in Ibbotson's large-cap companies back in 1980, you could sell them today for about $130,000. Not too shabby.
Had you reinvested the dividends, you'd be sitting on more than $400,000. And that's assuming you didn't invest another dollar since — just imagine if you had been investing even a modest amount along the way.
What a difference. Dividends really do matter. Stocks have done well — no matter how you slice it. You can see that clearly from the chart. You can also see that dividends can make the difference between merely doing well and quietly amassing a fortune.